Bitcoin Cash Faces Strong Rejection at $138 as It Continues Its Downward Correction

The price of Bitcoin Cash (BCH) is in a downward correction as the altcoin falls below its moving average lines. The cryptocurrency fell to the low of $115.95 as bulls bought the dips.

Bitcoin Cash price long-term analysis: bearish

On September 9, BCH rallied to the high of $138 but was resisted at the recent peak. Sellers pushed the cryptocurrency to the low of $115 and below the moving average lines. If the price breaks above the moving average lines, BCH will regain its upward momentum. Today, the upward movement is slowed down by the 21-day line SMA. However, if the cryptocurrency turns down from the moving average lines, BCH will continue to fall. The altcoin will fall to the low of $96.

Bitcoin Cash indicator display 

The cryptocurrency is at level 46 of Relative Strength for the period 14. It is in the downtrend zone, but buyers are trying to push the altcoin up. The crypto's price bars are below the moving average lines, which makes the altcoin vulnerable to a decline. The cryptocurrency value is below the 40% area of the daily stochastic. BCH is in a bearish momentum.

Technical Indicators

Key resistance zones: $130 and $150

Important support zones: $120 and $100

What is the next step for Bitcoin Cash?

 The cryptocurrency is still in a downward correction as the price is below the moving average lines. On the downtrend from August 2, a retraced candlestick tested the 61.8% Fibonacci retracement level. The retracement suggests that BCH will fall to the Fibonacci extension level of $1.618 or $109.012. The price action shows that BCH is trading at $119 at the time of writing.

Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by Coin Idol. Readers should do their own research before investing in funds.